25 July 2008
	FM Campus Recruitment Edition Feeding frenzy By Julian van der Westhuizen is chairman of Moore Stephens SA

A nationwide shortage of qualified chartered accountants has made choosing traineeships a "buyers'" market for students, but they still need to be cautious The growth of the economy and the change in regulatory frameworks over the past 10 years has increased the demand for accounting skills. According to a report on the supply and demand of trainee chartered accountants in SA issued by the SA Institute of Chartered Accountants in May last year, audit, tax and advisory firms will experience a shortfall of about 1 655 qualified Theory of Accounting students this year. The shortage is exacerbated by the demand for accounting skills from the corporate sector, further shrinking the recruitment pool. The scarcity of quality candidates is resulting in a feeding frenzy. Major recruitment drives are held on all campuses, with the "big four" and mid-tier firms vying for the best candidates. Firms are devising ingenious schemes to attract graduates, with some offering sign-up bonuses and locking students into contracts well before they qualify. The skills issue is well-publicised and graduates are in a position to pick and choose where they want to do their training. This has resulted in firms having to sell themselves, as opposed to applicants having to do the running. Graduates are able to take their time choosing their training office and properly assess where their three years would be best spent. Savvy accounting firms realise that they need to be more creative in attracting students and a substantial transfer of skills and good career opportunities are key offerings. Mid-tier firms are an attractive option, offering broad-based practical experience and an environment in which trainees enjoy a close working relationship with the firm's partners and clients. The opportunities for advancement are good, especially in rapidly growing firms in which the need for skilled resources is expanding. In these organisations, candidates who are keen to remain in the profession are often able to advance into mentorship programmes and management sooner than in the bigger firms. It allows trainees to map out their professional career earlier on. Graduates who aren't doing their training at one of the big groups tend to base their choice of firm on salary, experience offered, client exposure and the support they will obtain from partners and managers. The "feeling of not being just a number" is key in selecting a firm. The mid-tier experience offers a graduate hands-on experience in a multitude of disciplines and industries. Trainees not only work on industry-specific assignments or audits and have the opportunity to move within industries, but they also gain exposure to corporate finance, valuations, income tax and related consulting. This, in turn, gives them the confidence to decide which areas to pursue in their career. After all, a qualified chartered accountant is expected to be more than an auditor and is involved in almost any business-related service to clients. The ability to operate as a well-rounded CA the day your training contract is completed is an indication of the quality of the training experience you have received. In spite of the apparent wealth of opportunity, graduates need to consider their options carefully, weighing up the type of experience they want and how their training will guide them in their chosen career path. When it comes to companies, the scarcity of skills cannot compromise the search for quality. Firms still need to be selective about the candidates they recruit, investing time and money in ensuring they get the right calibre of trainees who are a good fit. The search has just become tougher. In spite of being faced with this critical shortage, the accountancy profession still needs to facilitate effective transformation. Recruitment and training demands a substantial investment by a firm in terms of time and money. But in light of the skills shortage, it is more important than ever to guarantee that, as a profession, we are developing quality CAs.